It would be nice if we had an option to hide/ignore overlay when the block is hidden like in the image below.

This already exists but works such that the adjacent block is considered occluded when the block above it is a full solid block. Using the cull check instead would also catch cases like what you showed, but the cull check is significantly more expensive to perform, so performance might be a concern. I will eventually investigate if there are any better alternatives.

I understand your concern. That's why I suggested it as an option/setting since some might even prefer it to show as is

Related to #44.